Behind the figures. Pay day loans and bank double criteria

Earnings inequality is mounting in Canada, making an wealth that is already inexcusable even even worse.

Sufficient reason for wide range comes privilege — especially in Canadian banking.

Low-income residents of Canada face an important dual standard whenever it comes down to accessing banking solutions despite urgently wanting them, relating to a study of 268 ACORN Canada people, whoever findings had been posted today by the Canadian Centre for Policy Alternatives’ Ontario workplace.

The study outcomes reveal numerous happen rejected use of really fundamental banking solutions — such as for instance cheque cashing or overdraft protection — from traditional banks.

But we have all for eating. And rest. Then when the banking institutions will not provide a connection over booming water that is financial numerous low-income people look to payday loan providers to ferry them across. Nevertheless the cost is high: astronomical rates of interest, some up to 500 % await them on the other hand.

1 / 2 of the surveyed ACORN members looked to predatory lending storefronts to cash a cheque.

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